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Media, communications entrepreneurs are giving back

Opinions expressed in this piece are solely those of the author and do not represent the views of S&P Global Market Intelligence.

More than one-third of the $12.2 billion donated in 2016 by the top 50 American givers came from 13 entrepreneurs in media, communications and media-tech. Here's my breakout from the complete list developed in part by Shook Research of Boca Raton, Fla., and recently published by Forbes.

The charitable initiatives are diverse, meaningful and global, ranging from disease prevention, clean water, hunger, self-sufficiency for the poorest populations, education, the arts, empowerment of women, democracy and human dignity. In aggregate, the 13 big givers listed below donated $4.2 billion in 2016.

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There are other social activists from media and communications who are also making a difference, according to a list of 50 top philanthropists in 2017 recently published by Town & Country. Names to look for in "big giver" rankings ahead may include the following:

* Facebook Inc. CEO Mark Zuckerberg and wife Priscilla Chan have promised 99% of their Facebook shares to a new charitable initiative, including a $3 billion effort to cure disease via new technologies.

* Facebook COO Sheryl Sandberg recently donated $100 million of Facebook stock to partially fund OptionB.org, a newly launched platform for grief support.

* Musician John Legend is focused on reforming our criminal justice system (#FreeAmerica).

* Actress Cate Blanchett is supporting global refugees (#WithRefugees).

* Broadcast.com co-founder Todd Wagner launched Charity Network, a digital hub for resources and funding.

* Former AOL News editor-in-chief Mike Porath created online platform TheMighty.com for people with mental illness and disabilities.

* Tech entrepreneur Sean Parker funded the Parker Institute for Cancer Immunotherapy.

* Netflix Inc. CEO Reed Hastings created a $100 million fund to support education.

Beyond entrepreneurs, various media, communications and tech trade associations are also engaged in charitable support and public service, although the dollar value of the efforts is somewhat vague on the various websites.

For instance, the National Association of Broadcasters proclaims that $10 billion is generated by local radio and TV stations in community service in a single year via public service announcements.

Meanwhile, NCTA-The Internet & Television Association notes that 2016 franchise fees paid directly to local municipalities totaled more than $3.5 billion and subscriber taxes and fees added $4.2 billion in revenues to state and local governments. Other industry trade associations are less granular in their charitable donations although many are engaged in various efforts to improve the diversity of their workforce or to improve customer access in underserved areas.

Another way to keep score is through annual corporate donations, but the data is surprisingly not easy to find in SEC filings. I'm not sure why, except perhaps that companies are hypersensitive that total return-minded shareholders might resent capital being spent on charitable donations rather than on equity enhancements.

I tend to be old school when it comes to community engagement and charitable support because I believe giving back is not only good for the corporate soul, but it is also good business. Half of branding is bolstering the perception that the brand represents something very positive in the customer's life.

When I was engaged in capital formation, I usually suggested to the issuing company that they include their charitable profile in the road show. Most did not. They were more focused on selling the deal at an advantageous price. But some did include a "giving back" slide, and I recall several institutional buyers telling me that they liked the company's involvement in finding a cure for autism or Alzheimer's disease or funding a mentoring program for disadvantaged kids, and such.

True, they would not have bought the offering unless they liked the management, the company and the deal. But perhaps it made them feel better about their decision, or maybe they asked for a larger allocation of the deal because of that giving back. Let's just say it didn't hurt.

The company you keep matters. And on that note I will wish you a very happy and healthy Thanksgiving holiday.